JSW Steel Limited completes payment of consideration to Welspun Corp for acquisition of PCMD business

JSW Steel Limited ("JSWL") had acquired from Welspun Corp Limited ("Welspun"), on a slump sale basis, the business of manufacturing of high-grade steel plates and coils ("PCMD Business"), for a consideration of INR 848,50,00,000/- (Rupees Eight Hundred and Forty Eight Crores and Fifty Lakhs only), subject to closing adjustments towards net working capital, and that the consideration was to be paid on a deferred basis. JSWL had paid an amount of (i) INR 225,00,00,000/- (Rupees Two Hundred and Twenty Five Crores only) as on April 30, 2021 as part consideration for the acquisition of the PCMD Business, and (ii) INR 498,50,00,000/-­ (Rupees Four Hundred and Ninety Eight Crores and Fifty Lakhs only) on June 8, 2021 as part consideration for the acquisition of the PCMD Business.

The balance consideration of INR 85,69,80,773/- (Rupees Eighty Five Crores Sixty Nine Lakhs Eighty Thousand Seven Hundred and Seventy Three only), after making closing adjustments towards net working capital, has been paid to Welspun on July 23, 2021, and that there is no further consideration payable to Welspun for the acquisition of the PCMD Business.

Shares of JSW STEEL LTD. was last trading in BSE at Rs. 717.4 as compared to the previous close of Rs. 716.7. The total number of shares traded during the day was 501915 in over 12392 trades.

The stock hit an intraday high of Rs. 727.35 and intraday low of 712.05. The net turnover during the day was Rs. 361055706.

Source : Equity Bulls

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